Using Community Land Trusts To Preserve Affordability

Land trusts are being proposed in Florida to hedge gentrification.
October 31, 2003, 6am PST | Connie Chung
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In Winter Park, FL, which has long been "the target of land speculators who buy the homes of elderly residents, often at below-market prices, and build high-priced homes or businesses, squeezing out residents," officials and experts presented "the concept of a land trust, which, in essence, creates a private, nonprofit corporation to acquire and hold land in residential areas to stop so-called gentrification. The property's value, and government funds, are used as leverage to continue purchasing more affordable houses....Land trusts allow low-income home buyers to qualify for low-cost loans because they are buying just the house; the trust owns the land. Homes can be handed down to children and grandchildren over 99 years. Trusts are operated by a board of directors that includes residents, community leaders and private businesses....Homeowners who want to sell get back the money they paid in, plus 25 percent of the property's appreciation value...."

Thanks to Connie Chung

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Published on Saturday, October 25, 2003 in The Chicago Tribune


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